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RigNet

Nasdaq:RNET
Snowflake Description

Mediocre balance sheet and slightly overvalued.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
RNET
Nasdaq
$163M
Market Cap
  1. Home
  2. US
  3. Energy
Company description

RigNet, Inc., a technology company, provides customized communications services, applications, and cybersecurity solutions in the United States and internationally. The last earnings update was 40 days ago. More info.


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  • RigNet has significant price volatility in the past 3 months.
RNET Share Price and Events
7 Day Returns
-6.4%
NasdaqGS:RNET
-0.4%
US Energy Services
0.1%
US Market
1 Year Returns
-29.5%
NasdaqGS:RNET
-43.6%
US Energy Services
1.2%
US Market
RNET Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
RigNet (RNET) -6.4% 3.7% -33.7% -29.5% -30% -84.3%
US Energy Services -0.4% -9.6% -20.3% -43.6% -52.2% -73.4%
US Market 0.1% 0.6% 0.9% 1.2% 36.7% 37.9%
1 Year Return vs Industry and Market
  • RNET outperformed the Energy Services industry which returned -43.6% over the past year.
  • RNET underperformed the Market in United States of America which returned 1.2% over the past year.
Price Volatility
RNET
Industry
5yr Volatility vs Market

RNET Value

 Is RigNet undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of RigNet to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for RigNet.

NasdaqGS:RNET Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 2 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 10.5%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NasdaqGS:RNET
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Energy Services Unlevered Beta Simply Wall St/ S&P Global 1.03
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.03 (1 + (1- 21%) (50.5%))
1.295
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.3
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.295 * 5.96%)
10.45%

Discounted Cash Flow Calculation for NasdaqGS:RNET using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for RigNet is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

NasdaqGS:RNET DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 10.45%)
2019 -9.00 Analyst x1 -8.15
2020 14.00 Analyst x1 11.48
2021 20.43 Est @ 45.93% 15.16
2022 27.17 Est @ 32.97% 18.25
2023 33.66 Est @ 23.9% 20.48
2024 39.56 Est @ 17.55% 21.79
2025 44.75 Est @ 13.1% 22.32
2026 49.22 Est @ 9.99% 22.22
2027 53.06 Est @ 7.81% 21.69
2028 56.40 Est @ 6.29% 20.88
Present value of next 10 years cash flows $166.12
NasdaqGS:RNET DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= $56.40 × (1 + 2.73%) ÷ (10.45% – 2.73%)
$750.53
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $750.53 ÷ (1 + 10.45%)10
$277.79
NasdaqGS:RNET Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $166.12 + $277.79
$443.91
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $443.91 / 19.46
$22.81
NasdaqGS:RNET Discount to Share Price
Calculation Result
Value per share (USD) From above. $22.81
Current discount Discount to share price of $8.35
= -1 x ($8.35 - $22.81) / $22.81
63.4%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price RigNet is available for.
Intrinsic value
>50%
Share price is $8.35 vs Future cash flow value of $22.81
Current Discount Checks
For RigNet to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • RigNet's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • RigNet's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for RigNet's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are RigNet's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NasdaqGS:RNET PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in USD $-3.64
NasdaqGS:RNET Share Price ** NasdaqGS (2019-06-18) in USD $8.35
United States of America Energy Services Industry PE Ratio Median Figure of 31 Publicly-Listed Energy Services Companies 17.95x
United States of America Market PE Ratio Median Figure of 3,092 Publicly-Listed Companies 17.63x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of RigNet.

NasdaqGS:RNET PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NasdaqGS:RNET Share Price ÷ EPS (both in USD)

= 8.35 ÷ -3.64

-2.29x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • RigNet is loss making, we can't compare its value to the US Energy Services industry average.
  • RigNet is loss making, we can't compare the value of its earnings to the United States of America market.
Price based on expected Growth
Does RigNet's expected growth come at a high price?
Raw Data
NasdaqGS:RNET PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section -2.29x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 2 Analysts
114.7%per year
United States of America Energy Services Industry PEG Ratio Median Figure of 27 Publicly-Listed Energy Services Companies 0.47x
United States of America Market PEG Ratio Median Figure of 2,126 Publicly-Listed Companies 1.53x

*Line of best fit is calculated by linear regression .

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to calculate PEG ratio for RigNet, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on RigNet's assets?
Raw Data
NasdaqGS:RNET PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in USD $2.42
NasdaqGS:RNET Share Price * NasdaqGS (2019-06-18) in USD $8.35
United States of America Energy Services Industry PB Ratio Median Figure of 88 Publicly-Listed Energy Services Companies 0.82x
United States of America Market PB Ratio Median Figure of 5,244 Publicly-Listed Companies 1.79x
NasdaqGS:RNET PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NasdaqGS:RNET Share Price ÷ Book Value per Share (both in USD)

= 8.35 ÷ 2.42

3.46x

* Primary Listing of RigNet.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • RigNet is overvalued based on assets compared to the US Energy Services industry average.
X
Value checks
We assess RigNet's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Energy Services industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Energy Services industry average (and greater than 0)? (1 check)
  5. RigNet has a total score of 2/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

RNET Future Performance

 How is RigNet expected to perform in the next 1 to 3 years based on estimates from 2 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
114.7%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is RigNet expected to grow at an attractive rate?
  • Unable to compare RigNet's earnings growth to the low risk savings rate as it is expected to be loss making during the next 1-3 years.
Growth vs Market Checks
  • Unable to compare RigNet's earnings growth to the United States of America market average as it is expected to be loss making during the next 1-3 years.
  • RigNet's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NasdaqGS:RNET Future Growth Rates Data Sources
Data Point Source Value (per year)
NasdaqGS:RNET Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 2 Analysts 114.7%
NasdaqGS:RNET Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 2 Analysts 5.5%
United States of America Energy Services Industry Earnings Growth Rate Market Cap Weighted Average 44%
United States of America Energy Services Industry Revenue Growth Rate Market Cap Weighted Average 8.5%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 13.9%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.4%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NasdaqGS:RNET Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NasdaqGS:RNET Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-12-31 277 1
2020-12-31 256 -4 2
2019-12-31 233 -20 1
NasdaqGS:RNET Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-03-31 243 15 -69
2018-12-31 239 8 -62
2018-09-30 235 9 -18
2018-06-30 221 21 -20
2018-03-31 211 18 -20
2017-12-31 205 29 -16
2017-09-30 201 37 -14
2017-06-30 201 30 -12
2017-03-31 206 46 -12
2016-12-31 221 39 -12
2016-09-30 220 33 -19
2016-06-30 236 42 -28

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • RigNet is not considered high growth as it is expected to be loss making for the next 1-3 years.
  • RigNet's revenue is expected to grow by 5.5% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NasdaqGS:RNET Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below

All data from RigNet Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGS:RNET Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-12-31
2020-12-31 -0.22 -0.22 -0.22 1.00
2019-12-31 -1.04 -1.04 -1.04 1.00
NasdaqGS:RNET Past Financials Data
Date (Data in USD Millions) EPS *
2019-03-31 -3.64
2018-12-31 -3.34
2018-09-30 -1.00
2018-06-30 -1.08
2018-03-31 -1.09
2017-12-31 -0.90
2017-09-30 -0.79
2017-06-30 -0.65
2017-03-31 -0.68
2016-12-31 -0.65
2016-09-30 -1.06
2016-06-30 -1.59

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • RigNet is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess RigNet's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
RigNet has a total score of 0/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

RNET Past Performance

  How has RigNet performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare RigNet's growth in the last year to its industry (Energy Services).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • RigNet does not make a profit and their year on year earnings growth rate was negative over the past 5 years.
  • Unable to compare RigNet's 1-year earnings growth to the 5-year average as it is not currently profitable.
  • Unable to compare RigNet's 1-year growth to the US Energy Services industry average as it is not currently profitable.
Earnings and Revenue History
RigNet's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from RigNet Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGS:RNET Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 242.53 -68.88 64.89
2018-12-31 238.85 -62.45 62.91
2018-09-30 235.42 -18.40 64.94
2018-06-30 221.50 -19.79 61.72
2018-03-31 210.65 -19.71 52.40
2017-12-31 204.89 -16.18 49.14
2017-09-30 200.84 -14.27 48.99
2017-06-30 200.61 -11.70 49.90
2017-03-31 206.35 -12.20 54.63
2016-12-31 220.62 -11.51 58.49
2016-09-30 220.05 -18.78 57.99
2016-06-30 235.76 -28.07 60.10
2016-03-31 255.95 -17.28 63.34
2015-12-31 271.26 -16.97 67.50
2015-09-30 305.73 -4.02 73.93
2015-06-30 327.23 12.78 78.44
2015-03-31 332.78 12.41 77.71
2014-12-31 330.17 15.64 72.78
2014-09-30 303.23 19.11 60.10
2014-06-30 272.26 15.60 54.70
2014-03-31 242.94 14.80 49.93
2013-12-31 220.71 16.34 48.44
2013-09-30 210.28 14.32 48.86
2013-06-30 201.37 15.21 46.21
2013-03-31 183.28 13.21 43.24
2012-12-31 161.67 11.88 38.89
2012-09-30 142.18 10.48 37.65
2012-06-30 123.14 12.69 33.48

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • It is difficult to establish if RigNet has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.
  • It is difficult to establish if RigNet has efficiently used its assets last year compared to the US Energy Services industry average (Return on Assets) as it is loss-making.
  • It is difficult to establish if RigNet improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.
X
Past performance checks
We assess RigNet's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Energy Services industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
RigNet has a total score of 0/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

RNET Health

 How is RigNet's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up RigNet's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • RigNet's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • RigNet's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of RigNet's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 1.4x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from RigNet Company Filings, last reported 2 months ago.

NasdaqGS:RNET Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 47.11 82.07 18.66
2018-12-31 55.98 77.03 21.71
2018-09-30 105.31 71.16 20.73
2018-06-30 110.10 58.14 18.37
2018-03-31 111.76 56.88 21.86
2017-12-31 107.28 58.11 34.60
2017-09-30 112.55 60.00 32.90
2017-06-30 114.05 47.12 42.70
2017-03-31 112.96 54.25 55.24
2016-12-31 112.58 61.47 57.15
2016-09-30 117.91 68.61 57.24
2016-06-30 117.96 73.36 59.46
2016-03-31 123.18 75.46 51.98
2015-12-31 123.31 77.66 60.47
2015-09-30 134.38 79.76 64.80
2015-06-30 147.95 81.87 61.52
2015-03-31 137.47 83.99 60.79
2014-12-31 142.09 86.11 66.58
2014-09-30 142.76 83.21 61.05
2014-06-30 138.95 85.32 61.01
2014-03-31 130.08 82.45 66.75
2013-12-31 124.79 59.56 59.82
2013-09-30 117.30 54.16 49.58
2013-06-30 107.18 56.51 48.60
2013-03-31 102.33 58.94 54.72
2012-12-31 101.97 61.29 59.74
2012-09-30 96.71 63.55 53.68
2012-06-30 90.02 19.16 52.00
  • RigNet's level of debt (160.4%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (63.4% vs 160.4% today).
CASH RUNWAY ANALYSIS

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

  • RigNet has sufficient cash runway for 1.2 years based on current free cash flow.
  • RigNet has sufficient cash runway for 1.2 years if free cash flow continues to grow at historical rates of 80.7% each year.
X
Financial health checks
We assess RigNet's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. RigNet has a total score of 3/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

RNET Dividends

 What is RigNet's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from RigNet dividends. Estimated to be 0% next year.
If you bought $2,000 of RigNet shares you are expected to receive $0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate RigNet's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate RigNet's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NasdaqGS:RNET Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below
United States of America Energy Services Industry Average Dividend Yield Market Cap Weighted Average of 16 Stocks 4%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2011 Stocks 2.5%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.5%
United States of America Top 25% Dividend Yield 75th Percentile 3.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NasdaqGS:RNET Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2021-12-31 0.00 1.00
2020-12-31 0.00 1.00
2019-12-31 0.00 1.00

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as RigNet has not reported any payouts.
  • Unable to verify if RigNet's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of RigNet's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as RigNet has not reported any payouts.
Future Payout to shareholders
  • No need to calculate the sustainability of RigNet's dividends in 3 years as they are not expected to pay a notable one for United States of America.
X
Income/ dividend checks
We assess RigNet's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can RigNet afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. RigNet has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

RNET Management

 What is the CEO of RigNet's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Steve Pickett
COMPENSATION $1,966,437
AGE 54
TENURE AS CEO 3.1 years
CEO Bio

Mr. Steven E. Pickett, also known as Steve, has been Chief Executive Officer and President of RigNet, Inc. since May 31, 2016. Mr. Pickett served as the Chief Executive Officer of WesTower Communications, Inc. from 2013 to 2015. He served as chief executive officer and president of 21stCentury Towers from March 2015 through May 2016. Prior to joining WesTower Communications, Inc., Mr. Pickett served as Chief Executive Officer and President at Telmar Network Technology, Inc. from July 2008 to December 2013. He also served as Chief Operating Officer of Telmar Network Technology from March 3, 2007 to July 2008. Before joining Telmar, Mr. Pickett was the Senior Vice President/General Manager of the Optical Network Division at Alcatel-Lucent. He also served as Vice President of Sales at Alcatel responsible for managing relationships with Alcatel North America customers, including AT&T. Mr. Pickett served as Chief Executive Officer and President of TEL-NT Brasil Comércio de Equipamentos de Telecomunicações Ltda. He serves as Director at RigNet, Inc. since June 2, 2016. He serves as Director at Q Factor Communications Corp. He is the Chairman for QuEST Forum in 2014. At QuEST Forum, Mr. Pickett is helping lead global initiatives to improve safety, sustainability and quality in the ICT industry. He serves as chair emeritus at QuEST Forum. Mr. Pickett was elected to the QuEST Forum Board since 2010 and was its Vice-chairman since 2013. Mr. Pickett holds a B.S.E.E. from Tufts University and an MBA from The Kellogg Graduate School of Management at Northwestern University.

CEO Compensation
  • Steve's compensation has increased whilst company is loss making.
  • Steve's remuneration is higher than average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the RigNet management team in years:

1.4
Average Tenure
50.5
Average Age
  • The average tenure for the RigNet management team is less than 2 years, this suggests a new team.
Management Team

Steve Pickett

TITLE
CEO, President & Director
COMPENSATION
$2M
AGE
54
TENURE
3.1 yrs

Lee Ahlstrom

TITLE
Senior VP & CFO
COMPENSATION
$520K
AGE
51
TENURE
0.8 yrs

Brendan Sullivan

TITLE
CTO & Chief Information Officer
COMPENSATION
$621K
AGE
44
TENURE
2.1 yrs

Brad Eastman

TITLE
Senior VP & General Counsel
COMPENSATION
$826K
AGE
50
TENURE
1.7 yrs

Jay Hilbert

TITLE
Senior Vice President of Global Sales
COMPENSATION
$653K
AGE
58
TENURE
2.6 yrs

Egbert Clarke

TITLE
Vice President of Global Operations
TENURE
1.4 yrs

Ben Carter

TITLE
Interim Principal Accounting Officer and Director of Accounting & Reporting
AGE
37
TENURE
1.3 yrs

Cameron Wallace

TITLE
Director of Communications

Jackson Markley

TITLE
Vice President of Corporate Development
TENURE
1 yrs

Shelly Pesterfield

TITLE
VP of Global Human Resources
TENURE
0.4 yrs
Board of Directors Tenure

Average tenure and age of the RigNet board of directors in years:

7.3
Average Tenure
58.5
Average Age
  • The tenure for the RigNet board of directors is about average.
Board of Directors

Jim Browning

TITLE
Chairman of the Board
COMPENSATION
$222K
AGE
68
TENURE
7.1 yrs

Steve Pickett

TITLE
CEO, President & Director
COMPENSATION
$2M
AGE
54
TENURE
3 yrs

Brent Whittington

TITLE
Independent Director
COMPENSATION
$176K
AGE
47
TENURE
8.5 yrs

Keith Olsen

TITLE
Independent Director
COMPENSATION
$170K
AGE
62
TENURE
8.5 yrs

Kevin O'Hara

TITLE
Independent Director
COMPENSATION
$170K
AGE
57
TENURE
8.5 yrs

Kevin Mulloy

TITLE
Independent Director
COMPENSATION
$165K
AGE
59
TENURE
7.3 yrs

Dave Vucina

TITLE
Member of Advisory Board
AGE
64

Ditlef de Vibe

TITLE
Independent Director
COMPENSATION
$159K
AGE
64
TENURE
8.1 yrs

Mattia Caprioli

TITLE
Independent Director
AGE
44
TENURE
5.7 yrs

Gail Smith

TITLE
Independent Director
COMPENSATION
$199K
AGE
58
TENURE
1.4 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
27. Nov 18 Sell Keith Olsen Individual 27. Nov 18 27. Nov 18 -2,700 $17.02 $-45,951
15. Nov 18 Sell Kevin Mulloy Individual 15. Nov 18 15. Nov 18 -3,030 $16.57 $-50,200
05. Sep 18 Sell Benjamin Carter Individual 30. Aug 18 30. Aug 18 -1,142 $16.16 $-18,451
31. Aug 18 Buy KKR & Co. Inc. Company 29. Aug 18 31. Aug 18 42,089 $15.99 $672,054
30. Aug 18 Buy KKR & Co. Inc. Company 29. Aug 18 29. Aug 18 10,074 $15.98 $160,983
30. Aug 18 Buy KKR & Co. Inc. Company 27. Aug 18 28. Aug 18 47,205 $15.99 $754,454
24. Aug 18 Buy KKR & Co. Inc. Company 21. Aug 18 23. Aug 18 57,877 $15.79 $885,957
20. Aug 18 Buy KKR & Co. Inc. Company 16. Aug 18 20. Aug 18 44,916 $14.14 $632,863
15. Aug 18 Buy KKR & Co. Inc. Company 13. Aug 18 15. Aug 18 58,167 $13.82 $791,064
X
Management checks
We assess RigNet's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. RigNet has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

RNET News

Simply Wall St News

Did Changing Sentiment Drive RigNet's (NASDAQ:RNET) Share Price Down A Painful 82%?

Check out our latest analysis for RigNet Given that RigNet didn't make a profit in the last twelve months, we'll focus on revenue growth to form a quick view of its business development. … Over half a decade RigNet reduced its trailing twelve month revenue by 7.6% for each year. … If a business loses money, you want it to grow, so no surprises that the share price has dropped 29% each year in that time.

Simply Wall St -

Does RigNet, Inc.'s (NASDAQ:RNET) CEO Pay Reflect Performance?

See our latest analysis for RigNet How Does Steve Pickett's Compensation Compare With Similar Sized Companies? … We examined companies with market caps from US$100m to US$400m, and discovered that the median CEO total compensation of that group was US$1.1m. … As you can see, Steve Pickett is paid more than the median CEO pay at companies of a similar size, in the same market.

Simply Wall St -

Calculating The Intrinsic Value Of RigNet, Inc. (NASDAQ:RNET)

by estimating the company's future cash flows and discounting them to their present value. … I will be using the Discounted Cash Flow (DCF) model! … We use what is known as a 2-stage model, which simply means we have two different periods of growth rates for the company's cash flows

Simply Wall St -

Investors Who Bought RigNet (NASDAQ:RNET) Shares Five Years Ago Are Now Down 73%

When a company doesn't make profits, we'd generally expect to see good revenue growth. … Some companies are willing to postpone profitability to grow revenue faster, but in that case one does expect good top-line growth. … It takes a certain kind of mental fortitude (or recklessness) to buy shares in a company that loses money and doesn't grow revenue.

Simply Wall St -

Is RigNet, Inc.'s (NASDAQ:RNET) Balance Sheet Strong Enough To Weather A Storm?

Help shape the future of investing tools and receive a $20 prize! … Investors are always looking for growth in small-cap stocks like RigNet, Inc. … However, an important fact which most ignore is: how financially healthy is the business?

Simply Wall St -

Before You Buy RigNet, Inc. (NASDAQ:RNET), Consider Its Volatility

(NASDAQ:RNET), then you might want to consider its beta (a measure of share price volatility) in order to understand how the stock could impact your portfolio. … Beta can be a useful tool to understand how much a stock is influenced by market risk (volatility). … A stock with a beta greater than one is more sensitive to broader market movements than a stock with a beta of less than one.

Simply Wall St -

Should You Worry About RigNet, Inc.'s (NASDAQ:RNET) CEO Pay?

This analysis aims first to contrast CEO compensation with other companies that have similar market capitalization. … How Does Steve Pickett's Compensation Compare With Similar Sized Companies. … has a market capitalization of US$248m, and pays its CEO total annual compensation worth US$1.5m.

Simply Wall St -

Have Insiders Been Selling RigNet Inc (NASDAQ:RNET) Shares?

So we'll take a look at whether insiders have been buying or selling shares in RigNet Inc (NASDAQ:RNET). … But logic dictates you should pay some attention to whether insiders are buying or selling shares. … Over the last year, we can see that the biggest insider sale was by Charles Davis for US$161k worth of shares, at about US$13.73 per share.

Simply Wall St -

RigNet Inc (NASDAQ:RNET): Time For A Financial Health Check

Investors are always looking for growth in small-cap stocks like RigNet Inc (NASDAQ:RNET), with a market cap of US$316m. … However, an important fact which most ignore is: how financially healthy is the business? … Companies operating in the Energy Services industry,.

Simply Wall St -

Breaking Down RigNet Inc's (NASDAQ:RNET) Ownership Structure

In this analysis, my focus will be on developing a perspective on RigNet Inc’s (NASDAQ:RNET) latest ownership structure, a less discussed, but important factor. … Ownership structure has been found to have an impact on shareholder returns in both short- and long-term. … Differences in ownership structure of companies can have a profound effect on how management's incentives are aligned with shareholder returns, and whether they adhere to corporate governance best practices.

Simply Wall St -

RNET Company Info

Description

RigNet, Inc., a technology company, provides customized communications services, applications, and cybersecurity solutions in the United States and internationally. The company operates through three segments: Managed Services, Applications and Internet-of-Things (Apps & IoT), and Systems Integration. The Managed Services segment provides remote communication, telephony, and technology services for offshore and onshore drilling rigs and production facilities, support vessels, and other remote sites. The Applications and Internet-of-Things segment offers applications over-the-top of the network layer, including Software as a Service offerings, such as cyber security; applications for safety and workforce productivity; a real-time machine learning and AI data platform; and other value-added solutions. The Systems Integration segment engages in the design, consulting, engineering, project management, procurement, testing, installation, commissioning, and maintenance of telecommunications systems. RigNet, Inc. was founded in 2000 and is headquartered in Houston, Texas.

Details
Name: RigNet, Inc.
RNET
Exchange: NasdaqGS
Founded: 2000
$162,531,472
19,464,847
Website: http://www.rig.net
Address: RigNet, Inc.
15115 Park Row Boulevard,
Suite 300,
Houston,
Texas, 77084,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NasdaqGS RNET Common Stock Nasdaq Global Select US USD 15. Dec 2010
Number of employees
Current staff
Staff numbers
604
RigNet employees.
Industry
Oil and Gas Equipment and Services
Energy
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/06/19 00:28
End of day share price update: 2019/06/18 00:00
Last estimates confirmation: 2019/05/09
Last earnings filing: 2019/05/10
Last earnings reported: 2019/03/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.